U.S. Energy Prices Decline in Latest Week
by:Tom Moeller
|in:Economy in Brief
Summary
- Gasoline prices reverse earlier gain.
- Crude oil prices plunge.
- Natural gas costs decline.
Retail gasoline prices for all grades weakened to an average $3.30 per gallon (-12.2% y/y) in the week ended April 14 after rising to $3.37 in the prior week. Prices remained above their low of $3.13 in the week of December 9. The recent high was $3.79 in the week ending April 22, 2024. Its all-time high of $5.11 occurred in the week ending June 13, 2022. The retail price for on-highway diesel fuel fell to $3.58 per gallon (-10.9% y/y) in the week of April 14 from $3.64 in the prior week. The latest diesel price stood well below a high of $4.63 in the week ending September 18, 2023 and a peak of $5.81 in the week ending June 20, 2022.
The price of West Texas Intermediate crude oil cratered to $60.84 per barrel (-29.4% y/y) in the week ended April 11, after easing to $68.67 per barrel in the prior week. It was the lowest price since the second week of April 2021. Prices were below a high of $91.45 in the week of September 29, 2023. The cost of crude oil peaked at $120.46 in the week of June 10, 2022. Yesterday, the price was $61.53 per barrel. The price of European Brent crude oil of $66.10 per barrel (-28.2% y/y) in the week of April 11 was down sharply from $74.64 in the prior week. Prices remained well below a recent high of $95.61 in the week of September 29, 2023 and compared to a peak of $127.40 in the week of June 10, 2022.
Natural gas prices weakened last week to an average $3.68 per mmbtu (+117.8% y/y) in the week ended April 11, after rising to $4.07/mmbtu in the prior week. Prices remained well above a low of $1.40/mmbtu in the week of March 15, 2024 but below their peak of $9.56 in the week of August 26, 2022.
Gasoline demand fell 2.8% y/y in the four weeks ending April 4 following a 1.9% y/y decline in the prior four weeks. Demand for all petroleum products weakened 1.9% y/y in the four weeks ending April 4 after a 1.2% y/y decline in the previous four-week period. Crude oil input to refineries fell 1.3% y/y in the four weeks ending April 4 after a 0.9% y/y slip in the prior four weeks.
Gasoline inventories rose 3.3% y/y in the week ending April 4 after a 4.3% y/y rise in the week ending March 28. Residual fuel oil inventories fell 15.0% y/y in the week of April 4, after a 19.6% y/y fall in the prior week. Crude oil inventories rose 2.1% y/y in the week of April 4 after a 2.6% y/y rise in the previous week.
Measured in days’ supply, gasoline inventories rose to 27.5 days in the week of April 4. The recent low was 22.9 days in the week of November 8. The supply of crude oil rose to 28.3 days in the week of April 4 from 28.1 days in the prior week, up from 24.6 days in the week of January 10 but remained below a high of 31.9 days in the week of March 3, 2023.
These data are reported by the Energy Information Administration of the U.S. Department of Energy. The price and supply/demand data can be found in Haver’s WEEKLY & USENERGY database.
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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